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Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?

To: Thomas Lemke who wrote (5731)	1/13/1998 10:19:00 PM
From: Ronald P. Margraf Sr.	Read Replies (1) \| Respond to of 116764

Hi Thomas, Well I'm not an expert. If I was I would probably be working for the government, and then I would be getting it all wrong, Ha!:-)))), also I would be a millionaire but then who is to say I'm not. To be a millionaire is not always measured in dollars and cents but in what you can put on your table, wheels under feet, and a roof over your head when the tough gets tough and the good is good and never have to change your life style. I would suspect that the price of gold is measured in US dollars because it is the worlds most stable regardless if it goes up or down. Here you have a country with basically 50 different countries (called states) using the same currency with the same value. Chances of another civil war are slim to none. Government over throw by the military slim to none. Revolt by its citizens slim to none. Going to war with its neighbors slim to none. The ability to produce everything that we need with out imports I would suspect 90%. We can produce are own food, fuel, shelter, entertainment, armorment (defense), technology, did I forget anything? So in reality we really don't need anyones imports. They need ours. Now getting to your question, I would have to say NO. Now that NO doesn't mean that you can't do what it is that you are asking. The only thing that is stable in the world is the price of gold only because it is tied to one currency so everyone knows what an ounce of gold is worth. So do what it is that you are asking is to trade currencies. Those values on currencies are based on national debt and interest rates within those countries. On the NA & SA continents the US dollar is king. In Europe the D-Mark is king. In Asia it was the HG $ but then that was tied to ours. All currencies are tied to its coinage. When you devalue your coinage, you devalue your paper. That devalue is when you compromise its purity. Now the ironic thing is that all coinage is measured againt either silver or gold. The more silver you discover the less it is worth. The same with gold. What makes a metal worth anything is its rearity. The more you fine the less it is worth, the only thing that changes that is if demand outstrips production or discovery. Now if everyone in the world or just one countries population just wants and buys 1 oz. of the yellow stuff then it would only be a matter of time before the stuff dries up. Now if it cost more to mine (precure) the stuff then it is like anything else, your not going to do it. It will stay in the ground and wait for the next generation to find it or bring it out of the ground. You see, gold really has no value except in the eys of the beholder or the desired. When your hungry, you can't eat it. When your thristy you can't drink it. When your cold and it is raining, you can't protect yourself. All you can do with it is exchange it for what you need. But then again someone has to want it. Have what it is that you want and then exchange it. Remember, all world currencies are based on gold or something of equal or more value, like diamonds and emeralds. Gold will probably be in flux for some time until the worlds CBs decide what they are going to tie value to. It could be ones counties $ or gold, silver, diamonds, emeralds, platnum, nickle, copper, who know what?. But that is what they are going to have to do. Governments are in trouble right now. They have to sell their gold to generate cash to shore up the central banks that have lent out big bucks to their clients which are the smaller regional banks which have lent out to business & Harry & Harriet homeowner regardless of what country they live in. When to much gold hits the street it becomes to previlent and of course Whela!!!!! too much gold. Value drops because anyone can get it. The market is flooded with the stuff right now and we have to wait for the world populas to dry it up and that is hard to predict. A tight US dollar doesn't mean low gold prices. If the treasury starts to print more money then it has gold then the opposite will accure. Remember what Sedam went after when he invaded Quwait. Not its oil. It central banks gold. I beleive he took 8 billion in bullion. Now why do you think he did that? That was to bankrupt the country. Now you have to understand this IJMHO.;-) Ron